Some people will hit each other up for paid references. The guy doing the referral can get paid by the new hire and the company. Idk what threshold of acquaintance is enough for a referral, but the worst things you can imagine have been done and are even routine in some places.
I'm sure that is also true. But I know the other thing happens too. I've heard about it and read it. Some Indians even asked me for a referral, as a stranger.
Referrals are encouraged by internal recruiters in most companies...and they incentivize it with a few thousand dollars for a successful hire. Why are you making it sound so nefarious?
It's normal for companies to pay for referrals based on personal familiarity, but not for candidates to pay for fake recommendations. Outside of a fully disclosed consultancy-type arrangement, it is unacceptable for the candidate to pay anything to the referrer.